Pakistan Economy - News & Updates - Archive

[Neo]

PM launches 'Destination Pakistan 2007' for American tourists

NEW YORK (updated on: November 10, 2006, 17:40 PST): Prime Minister Shaukat Aziz on Friday launched campaign to attract American tourists, saying Pakistan's great cultural heritage and scenic beauty offered a unique blend to international tourists.

"Ranging from high snow covered mountains in the north to vast lush fields and great resorts, the country is also a source of attraction for religious tourists," Aziz told the select gathering of tour operators, leading businessmen and people belonging to different walks of life while launching

'Destination Pakistan 2007'.

He said, "Pakistan is a tourist destination for every one and offers tremendous options for all."

The PM said the government is promoting religious tourism and said a large number of Buddhists and Sikhs visit their religious places. he said

Aziz said Pakistan situated at the crossroads of Central Asia, East Asia and South Asia links many civilisations.

He said the government has been improving the infrastructure to promote tourism to provide best possible facilities to the tourists.

The PM asked the overseas Pakistanis and American people and make Pakistan as their tourist destination.

He said Pakistan offers many sites of tourist attractions like the famous silk route, six out of eight highest peaks of the world and Indus valley civilisation.

He appreciated efforts of Agha Khan for building hotels and resorts in northern Pakistan.

Aziz said Pakistan is a moderate and hospitable country and wants to share its culture, cuisine, music, art with the world.

The PM said besides summer adventures in Pakistan, there is trekking options, mountaineering, rock climbing, air safaris and many other natural places to see.

Earlier, the Minister for Tourism Nelofar Bakhtiar welcoming the guests and introducing "Destination Pakistan 2007" said the government has planned a number of activities for the next 12 months to attract tourists from around the world.

She said special packages would be provided to the overseas Pakistanis and their children for their visit to Pakistan.

The minister also highlighted various measures taken for the promotion of tourism in the country and asked the American and Pakistanis to visit Pakistan taking advantage of facilities and opportunities being provided during the year 2007.

The launching ceremony of "Destination Pakistan 2007" was attended by a large member of overseas Pakistanis, American tourism travel operators and members of Sikh community.

Ministry of Tourism, Travel operators and PIA established their stalls on this occasion to highlight the facilities being provided for the tourists in Pakistan.

 

[Neo]

ENI plans to invest in deep sea exploration

ISLAMABAD, Nov 9: ENI Petroleum Company of Italy will make huge investment to undertake deep sea exploration in Pakistan from early next year. This was informed by ENI Senior Vice-President Mr Umberito who along with members of his delegation called on Federal Minister for Petroleum and Natural Resources Amanullah Khan Jadoon here on Thursday.

According to a statement issued here they also discussed investment opportunities in the oil and gas sector.

Welcoming the delegation, Mr Jadoon said that there existed tremendous potential for the prospective investors in Pakistan’s oil and gas sector and attractive package of incentives was being offered in the onshore and offshore explorations.

The minister said that the government had made investors-friendly policies to attract investment and taking measures to further improve the incentives being offered to lure investment in onshore and offshore exploration.

He invited the ENI to participate in the upcoming oil and gas projects besides increasing its activities in the explorations. He briefed the delegation about the upcoming mega projects of LNG, oil refineries and infrastructure development.

Additional Secretary Shaukat Hayat Durrani, Director General Petroleum Confessions, Muhammad Naeem Malik and ENI General Manager in Pakistan were also present during the meeting.

APP adds: Meanwhile, visiting Hungarian Foreign Minister Ms. Kinga Gonez held a meeting with Mr Jadoon on Thursday and both sides agreed to expand cooperation in the oil and gas sector for their mutual advantage.

They also agreed that there existed a lot of potential and expertise for exploring new avenues of interaction in this vital field of the economy to bring the two countries closer.

Mr Jadoon spelled out the priority being given to the promoting of oil and gas sector by the government as a key element of overall socio-economic development of the country.

He invited the Hungarian investors to take advantage of the investment opportunities in the onshore and offshore exploration, upcoming liquefied natural gas (LNG), oil refineries and infrastructure development projects.

Ms. Kinga appreciated the tremendous growth of Pakistan’s petroleum sector in last few years and investor-friendly policies being pursued by the government to attract investment.

She said that her visit to Pakistan would open new vistas of cooperation in diversified fields particularly in the oil and gas sector for the mutual benefit of the two countries.

She also expressed keenness of Hungarian companies to participate in the upcoming Pakistan’s oil and gas projects.

Minister of State for Petroleum Mir Muhammad Naseer Mengal and officials of the ministry were also present during the meeting.

 

[Owais]

Trade deficit rises by 67 percent in first quarter

ISLAMABAD (November 11 2006): Despite a strong build-up in current transfers, the burgeoning trade deficit has turned Pakistan's current account negative at $2.654 billion during the first quarter (July-September) of 2006-07, depicting an increase of $1.066 billion, or more than 67 percent, over $1.588 billion of corresponding period of last fiscal year.

The imbalances in the trade and services were so large ($4.053 billion) that it plunged the current account underwater in spite of strong build-up in current transfers during July-August 2006. Net current transfers rose to $2.302 billion during the period under review, from $1.926 billion of corresponding period of last fiscal year.

Current transfers went up as Pakistan received $1.233 million in workers' remittances or foreign exchange sent back home by overseas Pakistanis during the period, up from $1.002 million a year ago.

More worrisome was that during the period under review the resident deposit holders withdrew $50 million (in August they withdrew $77 million and in September deposited $8 million) from foreign currency accounts (FCA) primarily because of the stable rupee.

Inflows in these accounts could prove a cushion in moderating current account deficit but unfortunately it turned negative and dented the current transfers, too.

Economists are of the view that the widening current account deficit poses threat to the economy simultaneously on both internal and external fronts. However, government economic managers say that Pakistan is enjoying economic boom and the current account is manageable with borrowing from abroad, remittances, drawing down reserves and inflow of foreign investment.

The SBP data shows that Pakistan witnessed this current account imbalance as trade deficit (in goods and services) jumped to $4.053 billion during July-September 2006 from $2.912 billion of last year. The trade deficit figures have been deduced by using freight-on-board value of imports and exports.

SBP data says that imports stood at $6.89 billion, whereas exports totalled $4.164 billion, leaving trade imbalance (in goods) of $2.759 billion. The services account also witnessed a large imbalance, of $1.329 billion, during July-September 2006 as inflows, under this account, stood at $653 million against outflows of $1.982 billion. Thus, on balance, total trade deficit (goods and services) stood at $4.053 billion.

The factors responsible for this huge deficit were higher outflows on account of transportation, travel, insurance, royalties and licence fees. Pakistan had to spend $783 million on transportation account whereas its earning under this head was only $287 million. Thus, the net deficit in the services account due to chartering of vessels for imports, export was $498 million.

Another factor responsible for big services' account deficit was a net outflow of $267 million on account of overseas travelling. Pakistan had to spend $328 million to finance personal and business-related travelling abroad of individuals and groups whereas it earned only $61 million under this account. Hence the services account witnessed deficit in July-September 2006. The same applies on spending on insurance, royalties and licence fees paid to international organisations and their employees operating in Pakistan.

According to economic experts, this external disequilibrium in the shape of current account deficit may have a significant impact on the value of rupee. Besides, it would translate into a larger increase in Pakistan's net foreign debt position. A large and growing public debt could also eventually put upward pressure on interest rates and crowd out private investment.

 

[Owais]

Auto/machinery parts duty structure revised

ISLAMABAD (November 11 2006): While giving exemption of customs duty on import of raw materials, components/sub-components and sub-assemblies of prime movers, the Central Board of Revenue (CBR) has withdrawn 15 percent 'additional customs duty' on the import of six types of parts used in the industrial assembly and manufacturing of agricultural tractors of 50 HP and above till June 30, 2007.

The CBR on Friday issued SRO 1124(I)/2006 to amend SRO 693(I)/2006. According to the notification, 'additional customs duty' would not be charged till June 30, 2007 on import of inlet manifold (Hs Code 8409.9971); tapet cover (HS Code 8409.9971); timing case (HS Code 8409.9971); timing cover (HS Code 8409.9971); connecting rods (HS Code 8409.9973) and crown wheel and pinion (HS Code 8483.1011).

The Board has also imposed 'additional customs duty' on import of two more components for vehicles under sub-heading 8704.2190. These are frame assembly and long member for frame.

The components for vehicles of Chapter 87 (HS codes 4009.1110, 4009.2110, 4009.3110 and HS code 4009.4110), would be liable to 'additional customs duty' without the condition of '4x2 vehicles only' as per amended SRO 693(I)2006.

In another decision, the Board has decided not to give exemption of duties/taxes on import of components or sub-assemblies of automotive vehicles/batteries where 'additional customs duty' has been imposed under section 18 of the Customs Act, 1969.

All those components or sub-assemblies chargeable to 'additional customs duty' would not be eligible for the benefit of exemption under SRO 655(I)/2006. The CBR has issued an SRO 1122(I)/2006 through an amendment in SRO 655(I)/2006 to implement the decision.

Through another amendment, following is the extent of exemption available on import of sub-components, components and sub-assemblies of automotive vehicles, automotive climate control equipment and automotive batteries meant for in-house use or supply to OEMs and assemblers or sale in the open market under SRO 655(I)/2006:

The exemption of customs duty has been given on import of raw materials, sub-components, sub-assemblies and components (not manufactured locally) for road tractors for semi-trailers (prime movers) of 280 HP and above of PCT heading 8701.

Exemption of customs duty would be available on import of raw materials, sub-components, sub-assemblies and components (not manufactured locally) for road tractors for semi-trailers and trailers (prime movers) less than 280 HP.

Zero-percent duty would be charged on import of raw materials, sub-components, sub-assemblies and components (not manufactured locally) for agricultural tractors covered under PCT heading 8701.

The exemption of duty would be applicable on the import of raw materials, sub-components, sub-assemblies and components (not manufactured locally) for fully CNG-dedicated vehicles of PCT heading 87.02.

For vehicles of PCT heading 87.03, rate of duty on raw materials would be zero-percent; sub-components, 5 percent; sub-assemblies 20 percent and rate of duty on the import of its components (not manufactured locally) would be 10 percent.

For vehicles falling under PCT heading 87.02 (Non-CNG) and 87.04, rate of duty on raw materials would be zero-percent; sub-components, 5 percent; sub-assemblies, 15 percent and rate of duty on the import of its components (not manufactured locally) would be 10 percent.

For vehicles of PCT heading 87.11, rate of duty on raw materials would be zero-percent; sub-components 5 percent; sub-assemblies 20 percent and rate of duty on the import of its components would be 10 percent. The condition of 'not manufactured locally' is also applicable.

For bicycles falling under PCT heading 87.12, rate of duty on raw materials would be zero-percent; sub-components 5 percent; sub-assemblies 15 percent and rate of duty on the import of its components would be 10 percent. The condition of 'not manufactured locally' is also applicable.

Other vehicles: Rate of duty on raw materials would be zero-percent; sub-components 5 percent; sub-assemblies 15 percent and rate of duty on the import of its components would be 10 percent. The condition of 'not manufactured locally' is also applicable here. The Board has also issued another SRO, No 1123(I)/2006, to amend SRO 656(I)/2006.

Through this amendment, the CBR has revised one condition for exemption of components (which include sub-components, components, sub-assemblies and assemblies but exclude consumables), imported in any kit form, for assembly or manufacture of vehicles falling under Chapter 87 under SRO 656(I)/2006.

Under the amendment, the importer-cum-assembler or manufacturer shall submit hard and soft copy of list of components with parts numbers along with respective PCT headings intended to be imported by him to the Engineering Development Board (EDB) as per 'Annex B'. The description of components and their parts numbers shall be in accordance with that given in the Service Manual/Parts Catalogue of the vehicles. The EDB shall verify the list of components identified as aforesaid by the importer on the lists.

The Customs department will release the consignments of components for assembly or manufacture of vehicles on the basis of lists (part number and description) verified by EDB. Pending verification of lists by the EDB, the customs department may allow provisional release against 'Corporate Guarantee' submitted by the importer-cum-assembler or manufacturer. The Board has also revised Form-B of Annexure-B of SRO 656(I)/2006, which deals with the data on 'Records to be maintained in respect of imported components'.

Through another change in SRO 693(I)/2006, the Board has specified the correct HS Codes of different sub-components and components, specified in Appendix I and Appendix II of the notification, as part of any kit form for the assembly or manufacturing of motor cars and vehicles.

 

[Owais]

Seven revenue spinners contribute 67.4 percent of total duty collection: collectors conference informed

ISLAMABAD (November 11 2006): Seven major commodities groups have contributed 67.4 percent of total customs duty collected during the first four months of the current fiscal year.

Giving details of the performance of collectorates of customs, CBR (member) fiscal research and statistic Dr Athar Maqsood informed the collectors' conference that only seven major revenue spinners have 67.4 percent share of the total customs duty during the period under review.

The items are: vehicles and parts (22.2 percent), edible oil and fats (13.4 percent), POL (10 percent), mechanical and electrical machinery (7.2 percent), plastics and its articles (3.9 percent), and iron and steel contributed 3.4 percent in the total customs duty collection during July-October 2006-07.

The quarterly conference of collectors of customs and collectors of appeals, which held here on Friday, reviewed the performance of the collectorates in the last quarter and evolved a strategy for revenue optimisation. The conference was chaired by CBR chairman and revenue division secretary-general M. Abdullah Yusuf.

The CBR (member) legal, in his presentation, told the conference that the opening pending balance of adjudication cases on July 1, 2006 was 1548. Following filing of fresh cases during July to October 2006, the total number of pending adjudication cases remained 5141 cases. Out of these cases, 4907 cases have been disposed of by October 31.

He said the board has disposed of a total of 78,000 tax appeals since 2003-04, whereas now number of appeals is 2000, which are all fresh. The conference was informed that the overall revenue collection during first four months (July-October) of current fiscal year has surpassed the target of Rs 236.2 billion.

CBR (member) human resource management (HRM) Muhammad Talha briefed the conference on the latest position on Internal Job Process (IJP) and development of carrier planning for CBR employees.

He asked collectors to complete service record of employees, including ACRs for timely completion of the process. In his concluding remarks, the CBR chairman called upon collectors to make concerted efforts for more revenue generation to raise tax-to-GDP ratio, which presently is not at the desired level.

He said: "We have to focus on potential areas, which have yet to be exploited. Tax machinery cannot afford to continue with historical problems. Tax officials have to change mindset and make the organisation efficient and transparent."

Speaking on the retrenchment of the staff, he made it categorically clear that under no circumstances the CBR will send any employee home forcefully. However, special package or golden handshake scheme can be offered to surplus employees.

Later, member, facilitation and taxpayer education (FATE), Habib Fakhruddin, who has the additional charge of member, tax policy and reforms, apprised the conference of the latest position regarding establishment of 11 modal customs collectorates across the country.

Earlier, a presentation on post-clearance audit (PCA) was made by the PCA project director. He outlined the concept, objectives, nature and techniques of the system.

He also briefly mentioned salient features of the existing PCA systems in other countries like Japan, UK, Ireland, Uganda, etc. He also presented the proposed model of PCA in Pakistan

 

[Owais]

Liberal economic policies help attract investment: leading businessmen, investors meet Shaukat
NEW YORK (November 11 2006): Prime Minister Shaukat Aziz on Friday held meetings with leading businessmen and potential investors here and explained to them that future of Pakistan's economy is bright and the country is attracting more investment due to the liberal economic policies.

Talking to them, the Prime Minister said discussions are going on between Pakistan and the United States for bilateral investment treaty, which will give boost to bilateral trade and investment between the two countries.

The Prime Minister said Pakistan seeks an early conclusion of these talks with United States for benefit of the business community of both the countries.

He said that Pakistan is now in the phase of second generation of reforms. He said as a result the investment-friendly policies of the government, fundamentals of the economy are sound with the economy growing between six to eight percent for the fourth year in row, the flow of Foreign Direct Investment (FDI) reaching $3.5 billion last year.

Shaukat Aziz said Pakistan is also an attractive destination for institutional investors including local, regional and international sectors.

He said, Pakistan's entry into the global market is reflective of transitional economy, which opens new investment opportunities in the country for local and international investors. The Prime Minister said Pakistan offers a level playing field to all the investors in different sectors. He said those who have already made investments in Pakistan are getting good return by benefiting from investment friendly polices of the government.

Those who called on the Prime Minister included Jay Collins, Chairman of US-Pakistan Business Council and Jerome Kelley Vice President Merrill Lynch, Talking to Jay Collins, Shaukat Aziz appreciated the efforts of the Council in enhancing trade links between the two countries.

The Prime Minister said due to the efforts of the Council, potential investors were now looking towards Pakistan for investment in various fields.

Talking to newsmen after the meeting, Jay Collin said, the US-Pakistan business Council is working more closely Pakistan to encourage trade investment.

He said the Council has a large membership with entrepreneurs from all the sectors and they are showing increasing interest for business with Pakistan.

He said, "We are very pleased that talks are going on in right direction between Pakistan and United States and they will like to see early conclusion of the investment treaty." Jay Collins said the Council remains in constant touch with the leaders and officials of Pakistan to promote trade, business and investment activities.

Jerome Kelley Vice President Merrill Lynch giving his remarks after the meeting with the Prime Minister said they regularly hold investors conferences and road shows to attract investment in Pakistan. He said with the privatisation of the banks in Pakistan, the interest of the investors is rising. He said the investors now know that Pakistan has sound economy which in on the path of growth.

 

[Owais]

Cement sector registers 16 percent growth
ISLAMABAD (November 11 2006): The cement sector has registered 16 percent growth during the last four months from July to October against the corresponding period of last year, sources told Business Recorder on Friday.

Well-placed sources said the recently compiled statistics have revealed that the total production of the cement sector was 6.32 million tonnes during the four months, saying the total operational capacity of 28 units has almost surpassed 33 million tonnes, which was only 21 million tonnes at the start of January this year. They, however, said the capacity utilisation was only 72 percent in October owing to Ramazan and Eid holidays. The production by the end of December is expected to reach 40 million tonnes following the capacity enhancement by cement manufacturers.

Moreover, they said D.G. Khan cement, a new unit in Chakwal, will become operational soon, while the expansion projects of two entities-Best Way cement and Attock cement-have almost completed.

Other units, they said, were also planning production capacity enhancement as they see growing demand of the commodity in future, particularly when the construction of dams would start.

The last year's cement crisis had forced the government to allow the import of unlimited quantities of cement without any customs duty and withholding tax through the private sector to meet demand for price stabilisation in the domestic market. The government had also earmarked an amount of Rs 720 million in the budget to arrest the cement price hike. The prices of cement as a result of the government intervention were reduced from Rs350 per bag to a level of Rs225-240.

This reduction in prices at local market discouraged its import and only 14,000 tonnes cement was imported during June to September against the L/C of 217,000 tonnes. They said the State Bank had also paid freight rebate to cement importers during the last four months.

 

[Owais]

India welcomes Russian interest in IPI project

MUMBAI (November 11 2006): India's oil minister Murli Deora said on Friday he welcomed Russia's interest in participating in a proposed Iran-Pakistan-India natural gas pipeline. "We believe that Russia's participation is important for the safety and security of the pipeline," he told reporters.

The plan to pipe Iranian natural gas across Pakistan has been discussed for more than a decade, but hostility between Islamabad and New Delhi and fears of terrorist attacks on the pipeline have delayed the project. Deora said his Pakistani counterpart also welcomed the proposal to involve Russia in the $7 billion project, and hoped that Iran would also support it.

He declined comment on the nature of Russian involvement, but a senior oil ministry official said that Russia's involvement would help finance it.

 

[Owais]

Germans invited to invest in Hyderabad


HYDERABAD (November 11 2006): District Nazim Hyderabad, Kanwar Naveed Jamil invited German investors to make investment in various projects including education sector and establishment of garbage recycling plant in Hyderabad. He made such invitation during a meeting with Ambassador of Germany in Pakistan, Dr Gunter Mulack here in his office late on Wednesday.

The Nazim said a series of development projects have been initiated in Hyderabad district and there is need of heavy machinery for their timely completion. He said the District Government could save heavy amount for its development projects by importing reconditioning machinery and spare parts with sufficient guarantee.

Dr Gunter Mulack, speaking on the occasion said both Pakistan and Germany have strong relations in trade, education and cultural activities and his country desired to make these relations more strong.

To a suggestion of the District Nazim, the German Ambassador assured that he would approach the concerned departments for import of reconditioning machinery for completion of development projects in Hyderabad. Appreciating the standard of handicrafts, furniture and bangle industries of Hyderabad, he invited the local traders to visit Germany and open venues for exports of their products.

Among others, MNA Pervez Qureshi, District Naib Nazim, Zaffar Rajput, District Co-ordination Officer, Muhammad Hussain Syed, Executive District Officer (Revenue) Abdul Sattar and representatives of Hyderabad Chamber of Commerce and Industry were also present in the meeting.

 

[Owais]

Trade with Pakistan to touch $1 billion mark soon: Iranian CG

PESHAWAR (November 11 2006): The Consul General of Iran, Mohammad Eghbal Ali Asghari, has said that the quantum of trade between Pakistan and Iran, which stands at $400 million, would reach the $1 billion mark in near future.

Addressing a reception arranged by Iranian Consulate at a local hotel on Thursday night he said that the target required serious efforts in this direction. The reception was attended by a large number of people from different walks of life including politicians, traders and journalists. NWFP Governor Ali Mohammad Jan Aurakzai also attended.

Eghbal said: "My prime duty as representative of Iran would be to create an atmosphere of brotherhood between the two nations, besides promoting cultural, trade and commercial relations with Pakistan, particularly with the Frontier province." He has been recently posted as Iranian Consul-General in Peshawar.

He said that both brotherly countries share huge cultural, historical, religious and lingual similarities, which bond them in a very special relation not only on domestic forums, but also on international levels.

"The similarities on stands of both countries on regional and international issues bespeak of a complete understanding between the top leadership of Iran and Pakistan," he added.

He said that that before coming to Pakistan, he had called on President of Iran, Dr Mahmoud Ahmadinejad, who directed him to exploit potentials and diplomatic prowess for further cementing the fraternal bonds between Muslim countries. Iran, he said, has a clear-cut policy with regard to Pakistan, which is based on mutual respect, solidarity, co-operation and Islamic fraternity.

"Both Pakistan and Iran have really been good samaritans as they stood by each other in all hours of need," he said, adding that recalling that Iran was the first country to extend recognition to Pakistan and, similarly, Pakistan was the first country to recognise 'Islamic Revolution' of Iran.

He promised to bring the people of the two countries nearer and dearer to each other and extended all-out co-operation and any help in achieving these lofty goals.

 

[Owais]

'Destination Pakistan 2007' launched for US tourists
NEW YORK (November 11 2006): Prime Minister Shaukat Aziz on Friday launched a campaign 'Destination Pakistan 2007' for American tourists, saying the country's great cultural heritage and scenic beauty offered a unique blend to international tourists.

"Ranging from high snow covered mountains in the North to vast lush fields and great resorts, the country is also a source of attraction for religious tourists," Prime Minister Shaukat Aziz told the select gathering of tour operators, leading businessmen and people belonging to different walks of life. Shaukat Aziz said, "Pakistan is a tourist destination for every one and offers tremendous options for all."

The Prime Minister said the government is promoting religious tourism and said a large number of Buddhists and Sikhs visit their religious places. Shaukat said Pakistan situated at the crossroads of Central Asia, East Asia and South Asia links many civilisations. He said the government has been improving the infrastructure to promote tourism to provide best possible facilities to the tourists. The Prime Minister asked the overseas Pakistanis and American people to make Pakistan as their tourist destination.

He said Pakistan offers many sites of tourist attractions like the famous silk route, six out of eight highest peaks of the world and Indus valley civilisation. He appreciated efforts of Aga Khan for building hotels and resorts in northern Pakistan. Shaukat Aziz said Pakistan is a moderate and hospitable country and wants to share its culture, cuisine, music and art with the world.

The Prime Minister said besides summer adventures in Pakistan, there is trekking options, mountaineering, rock climbing and many other natural places to see.

Earlier, the Minister for Tourism Nilofar Bakhtiar welcoming the guests and introducing "Destination Pakistan 2007" said the government has planned a number of activities for the next 12 months to attract tourists from around the world.

 

[Owais]

Govt borrows Rs84.17 to cover up budget deficit

KARACHI: To cover up the budget deficit, the government borrowed from the banking system Rs84.17 billion till October 21, 2006, a SBP report says on Saturday.

This loan is Rs31.48 billion more than that of previous year.

According to State Bank of Pakistan statistics, for the same duration last year, the government borrowed Rs52.69 billion from the banking system.

During the current year, from July 1st to October 21st, the government borrowed Rs111.50 billion from State Bank of Pakistan. This amount was Rs93.79 billion for the above-mentioned duration

 

[Owais]

Czech company eager to invest in oil, gas sector

ISLAMABAD: A company from the Czech Republic is appraising the situation here for making further investment in the oil and gas exploration sector.

Czech company, MND chairman Carol Komarek, in a meeting here with the Federal minister for Petroleum and Natural Resources, Amanullah Jadoon, told that the MND was working in Pakistan’s oil and gas sector since last 10 years, while it was keen to further invest in gas storage and privatization projects.

Federal Minister, Amanullah Jadoon, on this occasion, told that a vast opportunity of investment in Pakistan’s oil and gas sector existed, as only 25 percent of its oil and gas reserves have been discovered thus far

 

[Owais]

Pakistani traders leave for Britain


LAHORE: Yaqoob Tahir, Senior Vice President of Lahore Chamber of Commerce and Industry, will act as President of the Chamber in the absence of Shahid Hassan Sheikh, who has left for UK on a 12-day tour.

During his tour, Shahid Hassan will meet with prominent industrialists and traders there, and return to Pakistan on November 23, said an LCCI spokesman here on Saturday.

Talking to Geo News before leaving for UK, Shahid Hassan Sheikh said that during their visit, the British investors would be apprised of the investment opportunities, specially the salutary effects of the present government’s policies on the investment atmosphere of the country.

 

[MIG_ACE]

India welcomes Russian interest in IPI project

MUMBAI (November 11 2006): India's oil minister Murli Deora said on Friday he welcomed Russia's interest in participating in a proposed Iran-Pakistan-India natural gas pipeline. "We believe that Russia's participation is important for the safety and security of the pipeline," he told reporters.

The plan to pipe Iranian natural gas across Pakistan has been discussed for more than a decade, but hostility between Islamabad and New Delhi and fears of terrorist attacks on the pipeline have delayed the project. Deora said his Pakistani counterpart also welcomed the proposal to involve Russia in the $7 billion project, and hoped that Iran would also support it.

He declined comment on the nature of Russian involvement, but a senior oil ministry official said that Russia's involvement would help finance it.

How will the pipeline benefit russia?? They wont invest without getting any returns.